A 91% drop in GSE earnings during 1Q has raised concerns about their second-quarter performance and exit from conservatorship.

The House Financial Services Committee has asked servicers to disseminate consistent information about pandemic-related forbearance options.

While the top two servicers reported a $50.6 billion decline in their combined portfolio during the first quarter, a handful of nonbanks saw significant growth from the end of 2019. (Includes two data charts.)

The economic damage caused by the pandemic took a bite out of Freddie’s first-quarter results. More trouble lies ahead, including forced MSR transfers.

After failing to get help from federal agencies, nonbank servicers’ lobbying efforts for a liquidity facility have shifted to Congress.

The CFPB will use supervisory feedback, rather than enforcement actions, to identify compliance issues in MSR transfers during the pandemic.

The GSEs reportedly are in the hunt to hire special servicers to handle COVID-19-related forbearance claims. The reason: Some nonbanks may be living on borrowed time.

Mortgage bankers have been clamoring for liquidity help from the FHFA. This week, the agency delivered on the issue of the GSEs buying COVID-19-related forbearance loans, but then lenders read the fine print.

Regulators have acknowledged that the lack of legal clarity and the speedy implementation of the new forbearance requirements may set the stage for exploitation by unscrupulous or ill-informed servicers.

Temporary prohibitions imposed by Pennsylvania could shutdown mortgage originations, the MBA warned. Meanwhile, the trade group noted that servicing standards set by Washington, DC, differ from federal ones.